This paper characterizes the optimal fiscal policy when it is assumed that there exists a minimum wage below which no worker can be hired. The rigidity due to the minimum wage legislation can lead to equilibria in which the supply side of the labor market is rationed. One of the main results of...

The Moderate Quantity Theory of Money (McCulloch, 1980) specifies the functional form of the price adjustment equation as: pi(t) = a(m(t-1)-md(t-1)) + E(pi(t-1)) + e(t), (1) where pi(t) is inflation at time t, a is an adjustment parameter, m(t-1) and md(t-1) are real money balances and a...

During the last years, the remarkable growth of the Internet, caused an increasingly demand for more advanced tools, capable to assist netsurfers in their search for useful information. In the field of electronic commerce, the development of buying agents promise a great future to consumers...

This paper aims to develop a model of trading in the stock market that can shed light on the sources of several widely reported empirical features of stock markets, including occasional predictability of excess returns using public information, 'excess volatility', and predictability of trading...

The paper introduces and develops the concept of Visual Econometrics - an innovative way of doing econometrics by manipulating visual information on a computer screen without the need to write code or issuing commands. This new approach has been made possible by the development, in recent years,...

Since Blanchard & Kahn's seminal article (Blanchard and Kahn, 1980) a number of alternative approaches for solving linear rational expectations models have emerged. This paper describes, compares and contrasts the techniques of Anderson & Moore (Anderson, 1997; Anderson and Moore, 1983; Anderson and...

In this paper genetic programming is used to investigate a number of long time series of price data for a stock exchange quoted share, in order to discern whether there are any patterns in the data which could be used for technical trading purposes. This extends the work done by the authors in a...

Small firms outperform large firms in terms of profitability, productivity and growth. Recent technological, market and consumer taste changes have all been conducive to small firms' emergence but still their share of the national income has fallen significantly in the last two decades. This...

Monte Carlo (MC) methods have proved flexible, robust and very useful techniques in computational finance. Several studies have investigated ways to achieve greater efficiency for such methods for serial computers.In this paper, we concentrate on the parallelization potentials of the MC methods....

Most theoretical studies of corruption tend to focus on the micro models of the phenomenon studying individual acts of corruption, while the empirical papers typically study corruption at the country level. This paper builds an agent-based computational dynamic general equilibrium model of...